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Qs#1

Mustafa corporation shows provide the following data. Net Profit Rs. 150,000
Beginning shares outstanding 350,000 Ending shares outstanding 370,000 Current
price per share Rs. 8.50 Dividend per share Rs. 2. 20. What is the dividend yield of
Mustafa Corporation?

Solution:

Dividend Yield= Dividend per share *100


Market price per share

=2.20/8.50*100

=25.885%

QS #4

Average quarterly inventory:

=$400,000+$800,000+$1200, 000+$200,000
4

=$650,000

Inventory turnover ratio= Cost of goods sold


Average inventory
= $2400, 000(w.i)
$650,000
=3.69

Average age of inventory= 365


3.69
= 99 days
As per in Question, industry average inventory turnover is 2.5 and if above
solution the sadaf manufacturing inventory turnover is 3.69 which shows that her
inventory turnover perform more efficiently than a industry.

Qs#

Issued & subscribed common stock= 500,000


Rs. 2 per share

= 2500,000 shares

Total legal capital= preference share capital + common stock

= Rs 11000, 000

Total paid in capital= shareholder equity – Retain earnings

= Rs 39930,000 – Rs 3690,000

= Rs 36240,000

Equity available to common stock holder= Rs 39930,000 – Rs 6240,000

= Rs 33690,000

Book value per share= Rs 33690,000


250, 0000
= Rs 13.476

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